ITC block deal: 2.57% equity changes hands for ₹13,863 crore; shares fall up to 4.8%, recover later

The transaction took place at an average price of ₹417 per share, according to a report by CNBC-TV18.

ITC's top investor, British American Tobacco (BAT), is likely the seller.

However, the stock recovered later, and when last seen, shares were trading at ₹420.30 apiece, down 3.13% on the NSE.

Earlier, news reports said that BAT was looking to sell a 2.3% stake for ₹11,600 crore on Wednesday.

The offer price for the block deal was reported to be ₹400 per share. This was an 8% discount to the current market price.

BAT held a total of 20.31% stake in ITC as of March 31, 2025, according to the shareholding pattern available with the BSE.

After the stake sale, BAT's holding in ITC could slip to 18%, as per reports.

The transaction will provide BAT with increased financial flexibility as it delivers on its commitment to invest in transformation, deleverage and sustainable shareholder returns, said a report by Moneycontrol.

In a press release, BAT said, “BAT confirms that it is evaluating a possible disposal of a small part of BAT’s shareholding in ITC by means of an on-market trade. There can be no certainty that any such transaction will proceed, nor can there be any certainty as to the terms of any potential transaction. A further announcement will be made if and when appropriate.”

ITC Q4 Results

The FMCG behemoth reported a net profit of ₹19,561.57 crore for the January-March quarter (Q4 FY25), marking an increase of 247% from ₹5,638 crore seen in the same period last year. The sharp surge in profit in the March quarter came on the back of an exceptional gain of ₹15,179.43 crore, thanks to the demerger of the hotels business.

"Hotels Business posted its highest ever revenue and operating profits on the back of strong growth in RevPAR for the 9 months ended 31st December, 2024. Profit Before Exceptional Items and Tax stood at ₹573 crore (₹445 crore for the same period in the previous year and ₹691 crore for FY24). Profit After Tax from discontinued operations for FY25 stood at ₹15104 crore (previous year ₹512 crore), including an exceptional gain of ₹15163 crore," ITC said in a press release.